Core Insights - CommScope reported revenue of $1.08 billion for the quarter ended September 2024, a decrease of 32.3% year-over-year, and an EPS of -$0.05 compared to $0.13 in the same quarter last year [1] - The revenue fell short of the Zacks Consensus Estimate of $1.42 billion by 24.05%, and the EPS was significantly below the consensus estimate of $0.33, resulting in an EPS surprise of -115.15% [1] Financial Performance Metrics - Net Sales for Connectivity and Cable Solutions (CCS) were $736.70 million, exceeding the average estimate of $729.48 million by four analysts, representing a year-over-year increase of 16.5% [3] - Net Sales for Access Network Solutions (ANS) were $188 million, below the average estimate of $196.96 million, reflecting a year-over-year decline of 13.9% [3] - Net Sales for Networking, Intelligent Cellular and Security Solutions (NICS) were $157.50 million, significantly lower than the average estimate of $192.44 million, indicating a year-over-year decrease of 45.5% [3] - Adjusted EBITDA for NICS was $27.80 million, surpassing the average estimate of $17.63 million [3] - Adjusted EBITDA for ANS was $18.70 million, falling short of the average estimate of $45.19 million [3] - Adjusted EBITDA for CCS was $173.90 million, slightly above the average estimate of $161.92 million [3] Stock Performance - CommScope's shares have returned +11.2% over the past month, outperforming the Zacks S&P 500 composite's +3.2% change [4] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [4]

Company Performance - CommScope reported a quarterly loss of $0.05 per share, significantly missing the Zacks Consensus Estimate of $0.33, and down from earnings of $0.13 per share a year ago, representing an earnings surprise of -115.15% [1] - The company posted revenues of $1.08 billion for the quarter ended September 2024, missing the Zacks Consensus Estimate by 24.05%, and down from $1.6 billion in the same quarter last year [2] - Over the last four quarters, CommScope has surpassed consensus EPS estimates only once and has topped consensus revenue estimates just once [2] Stock Performance - CommScope shares have increased approximately 146.5% since the beginning of the year, outperforming the S&P 500's gain of 24.3% [3] - The current consensus EPS estimate for the upcoming quarter is $0.34 on revenues of $1.44 billion, and for the current fiscal year, it is $0.98 on revenues of $5.42 billion [7] Industry Outlook - The Communication - Infrastructure industry, to which CommScope belongs, is currently in the top 37% of over 250 Zacks industries, indicating a favorable outlook [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that industry outlook can significantly impact stock performance [5][8]

Financial Performance - CommScope reported net sales of $1.082 billion in Q3 2024, a 2.7% increase from $1.053 billion in Q3 2023[2] - The GAAP loss from continuing operations improved to $(96.7) million, compared to a loss of $(533.8) million in the prior year[2] - Non-GAAP adjusted EBITDA increased by 30.2% to $204.2 million, with a core non-GAAP adjusted EBITDA of $220.4 million, up 25% year-over-year[2][9] - The CCS segment generated adjusted EBITDA of $174 million, reflecting a significant 115% increase from the previous year[4][15] - Net sales for the three months ended September 30, 2024, were $1,082.2 million, an increase from $1,053.4 million in the same period of 2023, representing a growth of approximately 2.5%[26] - Gross profit for the three months ended September 30, 2024, was $435.1 million, compared to $380.2 million in the same period of 2023, reflecting a gross margin improvement[26] - Operating income for the three months ended September 30, 2024, was $102.2 million, a significant recovery from an operating loss of $408.4 million in the same period of 2023[26] - The company reported a net loss of $33.0 million for the three months ended September 30, 2024, compared to a net loss of $828.7 million in the same period of 2023, indicating a substantial reduction in losses[26] - Non-GAAP adjusted net loss per diluted share improved to $(0.05) from $(0.12) in the same quarter last year[2][8] - Total net sales for Q3 2024 reached $1,082.2 million, a 2.7% increase from $1,053.4 million in Q3 2023[35] Cash Flow and Liquidity - Total liquidity at the end of Q3 2024 was approximately $1.024 billion, including cash and cash equivalents of $456 million[5][17] - Cash flow generated by operations was $122.2 million, with free cash flow of $115.5 million after capital expenditures[16][17] - Cash generated from operating activities was $122.2 million for the three months ended September 30, 2024, compared to $138.8 million in 2023[30] - Free cash flow for Q3 2024 was reported at $115.5 million, a significant recovery from a negative cash flow of $(183.7) million in Q1 2024[42] - Cash and cash equivalents at the end of the period were $456.4 million, up from $392.1 million, an increase of approximately 16%[30] Debt and Assets - Long-term debt decreased from $9,246.6 million to $7,966.4 million, a reduction of about 14%[28] - Total assets decreased from $9,371.9 million to $8,810.7 million, a decline of approximately 6%[28] - Total stockholders' deficit increased to $(3,322.5) million from $(2,968.8) million, reflecting a decline of approximately 12%[29] Segment Performance - The company experienced net sales growth across all regions except for the Caribbean and Latin America, with the U.S. market showing a 3.1% increase[11][7] - The CCS segment net sales increased by 16.8% year-over-year, reaching $736.7 million compared to $630.5 million in Q3 2023[36] - The NICS segment experienced a decline in net sales of 22.3%, falling to $157.5 million from $202.6 million in Q3 2023[36] - The ANS segment also saw a decrease in net sales of 14.7%, down to $188.0 million from $220.3 million in Q3 2023[36] - Corporate and other segment adjusted EBITDA improved to $(16.2) million in Q3 2024, compared to $(19.5) million in Q3 2023[37] Cost Management and Future Outlook - Research and development expenses for the three months ended September 30, 2024, were $78.0 million, down from $85.4 million in the same period of 2023, showing a focus on cost management[26] - The company is actively pursuing cost-saving initiatives under the CommScope NEXT program to enhance operational efficiency[25] - The company plans to divest its OWN segment and DAS business unit, with the transaction expected to close in Q1 2025[6] - The company expects to benefit from the divestiture of the Home segment, which may positively impact the financial performance of the remaining businesses[25] - CommScope anticipates potential challenges related to customer capital spending and inflation, which could affect future financial performance[24] - Forward-looking statements indicate that the company is focused on maintaining relationships with key business partners and customers amid ongoing market uncertainties[24] Projections and Guidance - CommScope has narrowed its full-year Core adjusted EBITDA guidance to a range of $700 million to $750 million[5] - The outlook for operating income in 2024 ranges from $223 million to $253 million, with total adjustments to operating income estimated between $422 million and $442 million[45] - Adjusted EBITDA for 2024 is projected to be between $645 million and $695 million[45] - Core operating income for 2024 is expected to range from $285 million to $315 million, with total adjustments estimated between $415 million and $435 million[47] - Core adjusted EBITDA for 2024 is projected to be between $700 million and $750 million[47]

Securities registered pursuant to Section 12(b) of the Act: UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-36146 CommScope Holding Company, Inc. (Exact name of registrant ...

CommScope Holding Company, Inc. (COMM) recently announced that its RUCKUS Networks has successfully deployed a cutting-edge AI-driven Wi-Fi 7 solution at the Circuit of The Americas (COTA) racetrack in Texas. This positions it as the first racetrack to utilize this solution with Automated Frequency Coordination (AFC) technology. The deployment is aimed at significantly reducing interference and enhancing network performance, setting a new standard in connectivity. What COMM Brings to the Table?The comprehen ...

CommScope Holding Company, Inc. (COMM) recently augmented its SYSTIMAX portfolio with the launch of the SYSTIMAX GigaSHIELD X10D platform. This advanced end-to-end Cat 6A shielded solution is designed for next-generation copper networks and offers enhanced performance, sustainability and ease of installation.The GigaSHIELD X10D platform incorporates advanced technologies such as F/UTP, F/FTP, and S/FTP cables, offering optimal electromagnetic interference and radio frequency interference protection. These f ...

CommScope Holding Company, Inc. (COMM) has expanded its AI-driven network assurance and business intelligence platform, RUCKUS One, with the launch of RUCKUS Edge, a new service delivery platform. RUCKUS Edge, built on the RUCKUS One cloud platform, utilizes the latter’s service catalog to provide a scalable and flexible solution for edge network deployment. By combining cloud orchestration with an edge appliance, this solution ensures a centralized, cloud-based control while enhancing performance and flexi ...

CommScope Holding Company, Inc. (COMM) recently launched the HX6-611-6WH/B antenna to revolutionize the way network operators scale their operations by providing a high-capacity microwave backhaul solution that meets the demands of future networks. By operating seamlessly in both the 6 GHz and 11 GHz bands, the HX6-611-6WH/B ensures reliable, long-haul connectivity, making it a critical asset for mobile network operators (MNOs) looking to future-proof their infrastructure. Key Benefits of COMM's New Antenna ...

For Immediate Release Chicago, IL – October 9, 2024 – Today, Zacks Equity Research CommScope Holding Co., Inc. (COMM) and Anterix Inc. (ATEX) . Industry: Communications Link: https://www.zacks.com/commentary/2347554/2-communication-stocks-set-to-beat-short-term-industryheadwinds The Zacks Communication - Infrastructure industry appears to be plagued by escalating capital expenditures for infrastructure upgrades, unpredictable raw material prices owing to Middle East tensions, supply-chain disruptions albeit ...

Investors in CommScope Holding Company, Inc. (COMM) need to pay close attention to the stock based on moves in the options market lately. That is because the Nov 15, 2024 $1.00 Put had some of the highest implied volatility of all equity options today. What is Implied Volatility? Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other ...